Keep the protections
Anglicare Tasmania has urged the Federal Parliament not to remove critical ‘responsible lending’ protections.
Australia has laws to protect people from exploitative lending by banks and other lenders, but the Federal Government has just released a draft bill which would see these protections axed from March next year.
Anglicare Tasmania, which delivers financial counselling services across the state, is writing to local MPs and Senators to urge them to vote against the proposed changes. We are also seeking meetings with key Federal MPs and Senators to explain why it is vital that these laws are retained.
“Axing protections in our lending laws will hurt individuals and their families,” said Anglicare CEO Dr Chris Jones. “The responsible lending protections are there to help ensure loans are affordable and not unsuitable for people.
“This proposal would also hamper economic recovery. Loading people up with unaffordable debt is a recipe for economic disaster,” he said.
Financial counsellors provide free, independent and non-judgmental assistance to people in financial stress.
“Financial counsellors are able to use the current laws to help people who have been given loans they cannot afford to pay,” said Chris. “If the laws go, more people will end up in debt spirals and risk living in poverty as they struggle to pay off their debts.
“This is one of the biggest challenges our sector is facing, and we are determined to convince our federal politicians to stop these laws from being dropped.”
The campaign is part of a wider national campaign against the proposal. The Financial Counselling Australia campaign is supported by all state and territory associations along with key consumer groups including Choice, Consumer Action Law Centre and the Financial Legal Rights Centre.
Anglicare Media and Communications
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